Kazakhstan has increased its oil exports through the Baku-Tbilisi-Ceyhan (BTC) pipeline, achieving a notable rise of 38% in February compared to January. This increase brought the total exports to 97,300 metric tons, equivalent to approximately 28,000 barrels per day, as reported by KazTransOil. The BTC pipeline serves as a crucial alternative to Kazakhstan’s primary export route, the Caspian Pipeline Consortium (CPC), which traverses Russia and ends at the Black Sea port of Novorossiisk. The BTC pipeline presents a strategic option for Kazakhstan, allowing shipments to bypass Russian territory.
However, the route presents challenges; transporting Kazakh oil to Baku requires either the use of tankers across the Caspian Sea or the construction of a trans-Caspian pipeline. Current capacities for tanker shipments are limited, and efforts to finalize a pipeline project have been hindered by longstanding territorial disputes among the Caspian Sea’s neighboring countries. In addition to the increases in BTC exports, KazTransOil reported a decline in oil exports through the Atasu-Alashankou pipeline to China. In February, these exports fell by 9% from the previous month, totaling 73,685 tons.
This decline highlights the complexities and fluctuations within Kazakhstan’s oil export strategies. Overall, while the rise in BTC exports marks a positive trend for Kazakhstan’s oil industry, challenges remain in diversifying export routes and ensuring consistent flows to key markets.